LOS ANGELES - The future of one of the country's leading class-action law firms, Milberg Weiss, is in grave doubt after a federal grand jury returned a criminal indictment yesterday accusing the firm of engaging in a secret, 25-year-long conspiracy to kick back attorneys fees to investors who served as named plaintiffs in more than 150 lawsuits brought against publicly-traded American companies.

The justice system certain does need some bolstering to it's integrity. A good next step would be a peer or judicial review with punative powers who could examine rogue prosecutors who persecute for political gain.

Also, I find it hard to believe that this went unnoticed by the legal system for 25 years. I don't find it hard to believe most of them kept mum about it though.

"Because of the secret kickback arrangement, Milberg Weiss had a stable of individuals ready and willing to serve as paid plaintiffs," she said. The prosecutor said the scheme gave the firm an unfair advantage over its competitors, at least until 1995, when a change in the law reduced the importance of being among the first to file a specific case."

I hate trial lawyers. So the problem isn't that these bottom suckers ruin peoples' lives or misinterpret, embellish and steal via the legal system...the problem is that the other bottom suckers couldn't get a chance to do the same.....cry me a freaking river.

15
posted on 05/19/2006 9:20:27 AM PDT
by socialismisinsidious
( The socialist income tax system turns US citizens into beggars or quitters!)

This is the way the legal system and lawyers in general are stealing all of Americas assets. Eventually lawyers will end up with most of the wealth in this country because they run and control the judicial in America from beginning to end and like any entity that polices itself there are not any controls over the system.

"Sen. John Edwards presidential campaign finance documents show a pattern of giving by low-level employees at law firms, a number of whom appear to have limited financial resources and no prior record of political donations."

"Records submitted to the Federal Election Commission (FEC) show these individuals have often given $2,000 to the North Carolina Democrat, the maximum permitted by law."

"In many instances, all the checks from a given firm arrived on the same day  from partners, attorneys, and other support staff."

"Stacy and Robert Kern of Los Angeles, for example, are among those who contributed to Edwards candidacy. Stacy Kern is listed as an administrator at the law firm of Howarth & Smith. The firm participated in the class-action suits against the tobacco industry."

Milberg Weiss and its attorneys have been among the most generous donors to the Democratic Party.

And the house of cards comes a'tumblin' down...

Politically motivated, my a$$. The US attorney is from one of the most liberal states in the country, and one of the most liberal cities on earth. The Milberg Weiss guys are just pissed that the tables have been turned on them... I wonder which democrat party hack will be the first to try and pull some strings to save them. This is just the opening chapter in a story which runs deep.

19
posted on 05/19/2006 9:53:00 AM PDT
by snowrip
(Liberal? YOU HAVE NO RATIONAL ARGUMENT. Actually, you lack even a legitimate excuse.)

That may be your opinion,or your ACLU experience, but I have not found that to be a fact. The lawyers I know are hard working individuals, self employed and dedicated to their clients. Those I am related to would rather pay off their college loans than buy a $3,000 suit. You have been watching too much TV where lawyer shows concentrate on a fantasy life which makes for good entertainment but whose characters would be in an asylum or jail in real life.

You can indict a corporation or an LLP -- the corporate form makes no difference. There is considerable reluctance of prosecutors to do so, because inevitably a lot of innocent people will see their jobs and pensions disappear. Case in point -- Arthur Anderson, indicted over destruction of Enron audit files, convicted, but eventually cleared of charges by the Supreme Court. Anderson folded almost overnight following the indictment, and a lot of honest, talented people who had nothing at all to do with its work for Enron were unemployed.

In this case, the indictment follows refusal of Milberg Weiss to cooperate with the investigation by waiving attorney-client privilege and providing documents. The firm will say it is between a rock and a hard place -- it has to respect the privilege which is owned by its clients, not the firm. The prosecutor will say Milberg is hiding behind the privilege.

One thing you can bet on is that Milberg Weiss will be a hollow shell within a month. Its lawyers will jump ship to other firms, and it will fold up its operations.

By the way, the headline writer for this thread has it wrong. Milberg Weiss represents plaintiffs, but not plaintiffs in tort (accident) cases. They represent plaintiffs in securities class actions. They have been hugely successful. i believe they represented the plaintiffs in more than half of the securities class actions settled nationwide last year.

I'll bet that some other Freeper Lawyers could enlighten us on the advantages of being a LLP for covering their a**.

A Limited Liability Partnership protects innocent partners from personal liability arising from acts of the firm, but permits the firm to be taxed as a partnership rather than a corporation. Some states' LLP statutes provide more protection than others, so the level of protection depends on the state in which the firm is registered as an LLP.

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